Tag Archives: Biden Administration

FACT SHEET: New Data Show 8.2 Million Fewer Americans Struggling with Medical Debt Under Biden Administration

The Consumer Financial Protection Bureau (CFPB) released a new report that shows that the number of Americans with medical debt on their credit reports fell by 8.2 million from the first quarter of 2020 to the first quarter of 2022 © Karen Rubin/news-photos-features.com

The Administration’s work to strengthen the Affordable Care Act along with new consumer protections lead to continued progress reducing the burden of medical debt.. This fact sheet is provided by the White House:

The Consumer Financial Protection Bureau (CFPB) released a new report that shows that the number of Americans with medical debt on their credit reports fell by 8.2 million from the first quarter of 2020 to the first quarter of 2022. Today’s report is consistent with a recent report from the Centers for Disease Control and Prevention (CDC) that found that the number of Americans who are part of families having trouble paying their medical bills declined by 5.5 million between 2020 and 2021. One driver of these declines is the significant increase in the number of insured Americans over this period, a result of the President’s strategy of protecting and strengthening the Affordable Care Act (ACA) and lowering health care costs. The decline also reflects continued actions by the CFPB to highlight problems with inaccurate reporting of debt in collections and put the industry on notice to correct their behavior.

The new data also underscore the importance of the Biden-Harris Administration’s government-wide initiative to reduce the burden of medical debt. Following the Vice President’s April 2022 announcement, medical debt was directly relieved for many low-income Americans. And, informed by research showing that medical debt is not a reliable predictor of financial health, federal agencies are working to eliminate the use of medical debt to assess creditworthiness for participation in government lending programs. Specifically:  

  • The Department of Veterans Affairs (VA) implemented a streamlined process to make it easier and faster for lower-income veterans to get their VA medical debt forgiven. The new process – establishing simple criteria to qualify for debt relief and launching a new online debt relief portal – has already provided relief to over 10,000 veterans and saved them more than $10 million in copay debt.
  • Communities across the country – from Cook County, Illinois, to Toledo, Ohio, to New Orleans, Louisiana, to Pittsburgh, Pennsylvania – are using or have passed legislation to use about $16 million American Rescue Plan (ARP) funding to purchase medical debt from hospitals and other sources and forgive it, wiping out nearly $1.5 billion in medical debt, a ratio of nearly 100-to-1. Other localities and states have proposed to make similar purchases using ARP funding.
  • The Federal Housing Finance Agency (FHFA) validated and approved the use of VantageScore 4.0, along with FICO 10T, for the underwriting of mortgages by Fannie Mae and Freddie Mac. The addition of VantageScore 4.0, which excludes medical debt entirely, marks the first time that a credit score that excludes medical debt has been approved for mortgage underwriting of Enterprise loans.
  • The Small Business Administration (SBA) will take a number of steps to reduce the role of medical debt in the underwriting of loans for its 7(a) guaranteed loan program, including revising its lender Standard Operating Procedures to discourage consideration of medical debt and making technology investments in Lender Match to help borrowers find lenders that exclude medical debt in their credit decisions.

These reductions in medical debt will provide real benefits to many Americans. Reducing medical debt directly impacts household finances by improving credit scores and access to credit. And research shows that households that have their medical debt relieved see improvements in access to medical care, and in physical and mental health outcomes. Since medical debt is disproportionally held among low-income communities, reductions in the burden of medical debt helps advance financial and health equity.
 
The CFPB report also shows that medical debt still accounts for more than 50% of debt in collections tradelines, exceeding the number of debt in collections tradelines from all other sources combined, including credit cards, personal loans, utilities, and phone bills. Getting sick or taking care of loved ones should not mean financial hardship for American families. That is why the Administration has—and will continue—to take action to ease the burden of medical debt and protect consumers from predatory collection practices.
 
Supporting Veterans in Financial Hardship
 
In Spring 2022, VA committed to make it easier and faster for lower-income veterans to get their VA medical debt forgiven. Previously, veterans in financial hardship who needed medical debt relief for VA copayments had to fill out a complex, paper form and navigate complicated eligibility requirements. The application process was confusing, and time-consuming, and as a result, veterans may have been deterred from applying for much needed relief.
 
Since the spring 2022 announcement:

  • VA streamlined the application process, including establishing a simple, standardized criteria to qualify for debt relief and launching a new online debt relief portal to make it easier and faster to apply.
  • Since introducing the new criteria, VA has approved over 93% of debt relief requests, and 42% of relief requests are now submitted via the online portal.  
  • To date, the new streamlined system has provided relief to over 10,000 veterans and saved them more than $10 million combined in unpayable copay debt.

Helping Communities Wipe Out Medical Debt
 
To help relieve the burden of medical debt on their residents as part of the recovery from the COVD-19 pandemic, communities across the country are using American Rescue Plan (ARP) funding to support efforts to buy and forgive medical debt. These communities work with partners to purchase medical debt portfolios from hospitals, health systems, and debt collection agencies and forgive the debt. Because medical debts are often available for purchase at pennies on the dollar, these efforts can translate into massive reductions in medical debt.
 
In the programs implemented to date, individuals qualify if they are residents of the given locality and have incomes below a certain threshold or have medical debt in excess of 5% of their annual household income. Individuals whose debt is cancelled are notified by mail and do not need to apply. Communities that have used ARP funds to forgive medical debt include:

  • Cook County, Illinois. In July 2022, Cook County announced the use of $12 million in ARP funds to purchase and forgive up to $1 billion in medical debt. The program has already wiped out the medical debts of 45,000 people worth $26 million.
  • Toledo and Lucas County, Ohio. In November 2022, the Toledo City Council and Lucas County approved a cumulative $1.6 million in ARP funds to buy out medical debt of certain residents. In total, the localities expected that this purchase will wipe out approximately $240 million in debt.
  • New Orleans, Louisiana. In December 2022, the New Orleans City Council included in its annual budget a $1.3 million line item leveraging ARP funds to relieve up to an estimated $130 million in medical debt.
  • Pittsburgh, Pennsylvania. In January 2023, the Pittsburgh City Council approved a plan to use $1 million in ARP funds to eliminate up to an estimated $115 million medical debts for about 24,000 residents.

Taken together, these investments of about $16 million in ARP funding are expected to relieve up to nearly $1.5 billion in medical debt, a ratio of nearly 100-to-1, helping to mend household finances, improve mental health, and remove a barrier to accessing health care. Additional states and cities across the country are also considering using ARP funds to eliminate medical debt including most recently the state of Connecticut, where the governor proposed using $20 million in ARP funds to wipe out debts of about  $2 billion.   
 
Removing Medical Debt from Government Underwriting
 
Research shows that medical debt is not a reliable predictor of overall financial health – predominately reflecting inequities in health insurance coverage and the bad luck of a hospitalization or other medical event. A CFPB report found that including medical debt in credit scores understates consumers’ creditworthiness by 10 points, and including already paid medical debt understates consumers’ creditworthiness by as much as 22 points. This means that the use of medical debt in underwriting can cut off American’s access to credit without improving the accuracy and predictiveness of lending programs.
 
Informed by this research, the Biden-Harris Administration instructed all agencies to eliminate medical debt as a factor in underwriting of credit programs, whenever possible and consistent with law. Since then:

  • In October 2022, the Federal Housing Finance Agency (FHFA) validated and approved the use of VantageScore 4.0 and FICO 10T for the underwriting of mortgages by Fannie Mae and Freddie Mac. VantageScore 4.0 excludes medical debt entirely, and marks the first time that a credit score that excludes medical debt has been approved for mortgage underwriting of Enterprise loans.  Moreover, the national credit reporting agencies announced several changes affecting the reporting of medical debt in collections – including that paid medical collection debt would no longer be included on consumer credit reports, an extension of timing for reporting of unpaid medical collection debt from six to twelve months, and a minimum $500 threshold for medical collection debt reporting – meaning that the role of medical debt in FICO 10T will also be reduced. The Enterprises’ automated underwriting systems do not consider medical debt in collections.
  • The Small Business Administration (SBA) will be taking a number of steps to reduce the role of medical debt in the underwriting of loans in the 7a guaranteed loan program.  These steps include revising its Standard Operating Procedures to discourage lenders from considering medical debt and making technology investments in Lender Match to help borrowers find lenders that exclude medical debt from their credit decisions and empower such lenders to underwrite those loans via automated data compilation.
  • In February 2022, VA published a final rule under which it virtually ceased reporting medical debt, and other unfavorable debt, to the credit bureaus. This rule ensures that debt reported better reflects creditworthiness, while saving veterans from further financial struggles simply because they had to take on medical debt. VA is committed to mitigating the burden of medical debt in its Home Loan guarantee program and in the coming months will work with lenders and servicers to discuss how to best maximize the flexibility of their underwriting guidelines related to medical debt collections while monitoring investor reactions and access to capital for VA guaranteed loans

New Data on Medical Debt in Collections
 
The report from the CFPB documents trends in medical debt in collections that are listed on credit reports, with the data extending through the first quarter of 2022. Key findings include:

  • Between the first quarter of 2020 and the first quarter of 2022, the number of Americans with medical debt on their credit report fell by 8.2 million, a 17.9% reduction.
  • Medical debt in collections accounts for 57% of collections tradelines, exceeding the total number of collections tradelines from all other sources combined, including credit cards, personal loans, utilities, and phone bills.

One driver of this decline in medical debt is the expansion of health insurance coverage during the Biden-Harris Administration. In the first quarter of 2022, the uninsured rate hit an all-time low of 8.0%, with 4.2 million people gaining coverage between 2020 and the first half of 2022. This milestone does not yet not capture the impact of the most recent increase in Marketplace enrollment, with a record 16.3 million Americans signing up on HealthCare.gov and the state-based Marketplaces during the 2023 Open Enrollment Period. This includes 3.6 million people who are new to the Marketplaces for 2023. Since President Biden took office, the number of people who have signed up for an affordable health care plan through HealthCare.gov has increased by nearly 50%. The Biden-Harris Administration continues to work to create a more fair and transparent health care system for consumers, including by protecting millions of consumers from surprise medical bills through its implementation of the No Surprises Act—preventing about 1 million surprise bills per month—and by advancing hospital price transparency so patients know the upfront price of hospital services.
 
The declines in medical debt also reflect continued actions by the CFPB to highlight problems with inaccurate reporting of debt in collections and put the industry on notice to correct their behavior.
 
The declines in medical debt on credit reports do not yet capture any effects of the Spring 2022 announcement where the three largest credit reporting agencies—Equifax, Experian, and Transunion—stated that they will no longer include certain forms of medical debt on credit reports, including all debts under $500, starting in 2023. While not shown in these data, CFPB estimates these changes will likely result in further reductions in medical debt appearing on credit reports.  
 
The decline in medical debt in collection represents one part of a broader decrease in the financial burden from medical bills during the Biden-Harris Administration. The CFPB report focuses on medical debt reported to credit bureaus, and does not capture medical debt that is placed on credit cards (including hospital credit cards) or paid for with personal loans or hospital payment plans.  However, a CDC report released last month showed that between 2020 and 2021, the number of people in families having problems paying medical bills declined by 5.5 million people, indicating that American families are indeed experiencing across-the-board relief.
 
These findings represent real progress in providing breathing room for American families. At the same time, too many Americans still face crushing burdens from medical debt. The Biden-Harris Administration will continue to fight to ensure that Americans who are sick or are caring for sick loved ones are not hit with a double whammy of illness and medical debt. This includes continuing to help Americans sign up for health insurance; calling on Congress to make permanent the lower premiums for people buying ACA coverage and to close the Medicaid coverage gap; and continuing to reduce the burden of medical debt via sweeping actions by government agencies.

Biden Administration Infrastructure Law Funds Gateway Hudson Tunnel, Major Transportation Projects

President Biden announced $292 million to complete a critical early phase of the Gateway Hudson Tunnel Project, thanks to his Bipartisan Infrastructure Law. The Hudson Tunnel Project will improve access to Penn Station, rehabilitate the old North River Tunnel which opened in 1910, build a new tunnel beneath the Palisades, Hudson River, and the waterfront area in Manhattan, and improve reliability for 200,000 weekday passengers on New Jersey Transit (NJ Transit) and Amtrak. It will result in 72,000 well-paying jobs © Karen Rubin/news-photos-features.com

Continuing the progress implementing the Biden-Harris Administration’s economic agenda, President Biden visited New York on January 31 to announce funding for a critical early phase of the Hudson Tunnel Project and Mega grants for other major infrastructure projects across the country.  The President announced the Administration has awarded nearly $1.2 billion from the infrastructure law’s new National Infrastructure Project Assistance discretionary grant program (Mega) for nine projects across the country, including over $292 million to complete a critical early phase of the Hudson Tunnel Project.

These infrastructure investments will create good-paying jobs – including union jobs and jobs that do not require a college degree. The projects will grow the economy, strengthen supply chains, improve mobility for residents, and make our transportation systems safer for all users.

This announcement comes on the heels of several other announcements of funding for major infrastructure projects, including more than $2 billion to upgrade some our nation’s most economically significant bridges such as the Golden Gate Bridge and the Brent-Spence Bridge through the Bridge Investment Program and $1.5 billion for 26 major projects through the INFRA program.  

These infrastructure improvements are a critical part of President Biden’s economic agenda to build the economy from the bottom up and middle out.

Hudson Tunnel Project

President Biden announced a $292 million Mega grant to Amtrak for Hudson Yards Concrete Casing, Section 3. This funding is part of a $649 million early phase project that will complete the final section of concrete casing intended to preserve future right-of-way for the new passenger rail tunnel under the Hudson River. The concrete casing protects the path of the new tunnel from Penn Station to the Hudson River’s edge.  If this casing were not built now, the foundations from the new Hudson Yards development would likely impede the path of the tunnel and make the project extremely difficult.

The overall Hudson Tunnel Project is an over $16 billion investment that will improve resilience, reliability, and redundancy for New Jersey Transit (NJ Transit) and Amtrak train service between New York and New Jersey.  The project will reduce commute times for NJ Transit riders, enhance Amtrak reliability on the Northeast Corridor (NEC), and support the northeast regional economy. Amtrak expects the Hudson Tunnel Project will result in 72,000 direct and indirect jobs during construction with union partnerships for job training. 

The existing North River Tunnel is over 100 years old, built to early 20th century standards, opened for service in 1910, and is the only passenger rail tunnel connecting New York and New Jersey. It facilitates more than 200,000 passenger trips per weekday on more than 450 Amtrak and NJ Transit trains servicing New York Penn Station. The tunnel has reached its full capacity of 24 trains per hour, causing bottlenecks and delays. The tunnel has two tubes with one track each.  When one goes out of service for any reason, trains have to wait to go through the working tube.  This creates headaches for NJ Transit commuters and Amtrak travelers and delays that cascade up and down the Northeast Corridor. In 2020, passengers experienced 12,653 minutes of delay due to problems caused by aging tunnel infrastructure. Delays occurred on 54 different days in 2020 and were attributed to a variety of causes involving the electrical power, signal and track systems.

In 2012, millions of gallons of salt water flooded into the tunnel during Superstorm Sandy. Even today, the remnants of seawater that entered the tunnel in 2012 continue to harm the concrete, steel, tracks and third rail, signaling, and electrical components within the tunnel. Today the tunnel requires regular, and occasional emergency, maintenance that disrupts service for hundreds of thousands of riders throughout the region.  Rehabilitation of the tunnel would require a full closure, which will only be possible if a second tunnel existed.

To address those challenges, the Hudson Tunnel Project will rehabilitate the old North River Tunnel; build a new tunnel beneath the Palisades, the Hudson River, and the waterfront area in Manhattan; construct new surface alignment from Secaucus to the new tunnel portal in North Bergen; construct ventilation shafts and fan plants in New Jersey and New York; and make track modifications near Penn Station. When the project is done, the redundant capacity provided by a second tunnel will mean fewer delays and less risk for catastrophic disruption.

The project is part of the larger Gateway Program which envisions expanding and rebuilding the rail line between Newark, New Jersey and New York City through a number of projects, including the new Portal North Bridge, which broke ground last year and is supported by $900 million in federal funding.

Today’s Mega grant announcement is the first of several funding announcements for the project expected this year and the most significant federal funding for the Gateway Hudson Tunnel Project to date. 

The Administration is committed to providing the billions of dollars in funding necessary to ensure that this critical project is completed. Later this year, if and when additional milestones are met by the states and other parties, a full funding agreement will be completed.

President Biden’s Bipartisan Infrastructure Law makes the largest investment in passenger rail since the creation of Amtrak, with a $66 billion investment in rail. After waiting years for new federal funding, 2023 will be a year in which major rail projects along the 450-mile Northeast Corridor between Washington, DC, and Boston, receive their first significant funding.

New Mega Project Grants

The Mega grant program, created by the infrastructure law, funds projects that are too large or complex for traditional funding programs. Eligible projects include highway, bridge, freight, port, passenger rail, and public transportation projects that are a part of one of the other project types.   The Mega program will invest a total of $5 billion through 2026 to help rebuild the United States’ infrastructure for the benefit of residents now and for generations to come.

Beyond the Hudson Tunnel concrete casing project, the Administration is announcing projects of regional and national economic significance that are receiving Mega grant awards including:

  • $250 million for the Brent Spence Bridge connecting Kentucky and Ohio, part of a total investment of $1.6 Billion from the infrastructure law to build a new companion bridge and rehab an existing bridge along a major freight corridor on I-75. Earlier this month, the President and Senate Minority Leader McConnell visited the Brent Spence Bridge to announce this funding.
  • $150 million to the Louisiana Department of Transportation for the Calcasieu River Bridge Replacement which will increase capacity on a critical stretch of Interstate 10 which is an important freight route;
  • $117 million to the Metra Commuter Railroad in Illinois to make improvements on the Metra Union Pacific-North line on a two-mile corridor from the Addison to Fullerton rail bridges, replacing approximately 11 bridges, 4 miles of track structure, and more than 1.75 miles of retaining walls along Metra’s UP-N line;
  • $110 to the North Carolina Department of Transportation to replace the Alligator River Bridge on U.S. Highway 64 with a modern high-rise fixed span bridge along the primary east-west route in northeastern North Carolina between I-95 and the Outer Banks;
  • $85 million to the Oklahoma Department of Transportation for I-44 and US-75 improvements along a critical urban freight corridor near Tulsa, including vehicular, pedestrian and bicycle infrastructure improvements;
  • $78 million to the City of Philadelphia to make improvements along approximately 12.3 miles of Roosevelt Boulevard, from North Broad Street to the Bucks County line including making traffic signal upgrades, constructing intersection and roadway reconfigurations, constructing median barriers and pedestrian refuge islands, making corridor access management improvements, constructing complete streets improvements for accessibility, pedestrian, and bicycle improvements, as well as installing new business access and transit lanes;
  • $60 million to the Mississippi Department of Transportation to widen I-10 in Harrison and Hancock counties along a major freight corridor of regional significance; and,
  • $30 million to the California Department of Transportation (Santa Cruz County) for the Watsonville-Cruz Multimodal Corridor Program which will construct approximately 2.5 miles of State Route 1 auxiliary lanes and a Bus on Shoulder facility between Freedom Boulevard and State Park Drive, construct approximately 1.25 miles of the New Coastal Rail Trail within Santa Cruz Branch Rail Line right-of-way, and fund the purchase of 4 new zero-emission buses.

White House Highlights Infrastructure Progress in Every Corner of the Country: State-by-State Updates

During his State of the Union address, President Joe Biden touted the benefits of the once-in-a-generation Bipartisan Infrastructure Act that will fund tens of thousands of initiatives across the country – including places where Republicans opposed the measure but are happy to take credit for the progress (“I still get asked to fund the projects in those districts as well, but don’t worry.  I promised I’d be a President for all Americans.  We’ll fund these projects.  And I’ll see you at the groundbreaking.” Biden said that the materials would be “Made in America” and support millions of well-paying union jobs, like the manufacture of electric buses for public transit fleets, on display in New York City © Karen Rubin/news-photos-features.com

Over one year ago, President Biden signed the Bipartisan Infrastructure Law – a once-in-a-generation investment in our nation’s infrastructure and competitiveness. While “infrastructure week” was a punchline under his predecessor, President Biden is delivering an “infrastructure decade” that is producing real results to change people’s lives for the better, creating good-paying jobs, and boosting American manufacturing.

In his first State of the Union Address in 2022, President Biden highlighted how our historic federal investments in infrastructure would create a visible impact in the lives of American families by committing to start repair on 65,000 miles of roads and 1,500 bridges. The President also committed to making rapid progress across every facet of the law. 

Since the last State of the Union, the Administration has surpassed those ambitious goals. This includes launching over 3,700 bridge repair and replacement projects across the country, beginning repair of over 69,000 miles of roadway, awarding funds for over 3,000 new clean transit and school buses, increasing enrollment in the Affordable Connectivity Program to over 16 million households, and approving state plans for water funding, EV charging networks and high-speed internet deployment.

Overall, the Bipartisan Infrastructure Law represents historic progress, as the largest and most significant investment in:

  • Rebuilding our roads and bridges since President Eisenhower’s Interstate Highway System;
     
  • Public transit in American history and an historic investment to make public transportation accessible;
     
  • Passenger rail since Amtrak’s inception, 50 years ago;
     
  • Clean water infrastructure;
     
  • Affordable, high-speed internet;
     
  • Tackling legacy pollution and advancing environmental justice;
     
  • Upgrading the power grid to transmit more clean energy and withstand extreme weather;
     
  • Increasing our infrastructure’s resilience against the impacts of climate change, extreme weather events, and cyber-attacks;
     
  • Replacing dirty diesel buses with clean, electric buses across school bus and transit fleets; and,
     
  • A national network of EV chargers in the United States and largest investment in domestic manufacturing of batteries and the critical minerals that power them.

These once-in-a-generation investments are positioning the United States to win the 21st century. That is why the Biden-Harris Administration has been laser-focused on implementing the law.

  • To date, the Administration has announced nearly $200 billion in funding and over 20,000 projects or awards, which are highlighted in a new map showcasing all projects and funding awards in all 50 states and territories. These awards and projects touch over 4,500 communities
     
  • In recent weeks, the President has announced awards for regionally or nationally-significant projects including over $2 billion to upgrade some our nation’s most economically significant bridges and over $1.2 billion in Mega grants. These infrastructure investments will create good-paying jobs – including union jobs and jobs that do not require a college degree. The projects will grow the economy, strengthen supply chains, improve mobility for residents, and make our transportation systems safer for all users.  To highlight that progress, the White House unveiled an illustrative map of signature projects on build.gov
     
  • The Biden-Harris Administration is committed to making the funding opportunities from the Bipartisan Infrastructure Law both accessible and transparent, so communities across America know what to apply for, who to contact, and how to get ready to rebuild. Our goal is to help state, local, Tribal and territorial governments navigate, access, and deploy infrastructure resources that will build a better America. As such, the White House today released an updated calendar of notices of funding opportunity expected throughout the year. 

“Made in America”

Indeed, President Biden devoted the largest portion of his State of the Union address to infrastructure and jobs:

We used to be number one in the world in infrastructure.  We’ve sunk to 13th in the world.  The United States of America — 13th in the world in infrastructure, modern infrastructure.
 
But now we’re coming back because we came together and passed the Bipartisan Infrastructure Law — the largest investment in infrastructure since President Eisenhower’s Interstate Highway System.  (Applause.) 
 
Folks, already we’ve funded over 20,000 projects, including major airports from Boston to Atlanta to Portland — projects that are going to put thousands of people to work rebuilding our highways, our bridges, our railroads, our tunnels, ports, airports, clean water, high-speed Internet all across America — urban, rural, Tribal. 
 
And, folks, we’re just getting started.  We’re just getting started.  (Applause.) 

And I mean this sincerely: I want to thank my Republican friends who voted for the law.  And my Republican friends who voted against it as well — but I’m still — I still get asked to fund the projects in those districts as well, but don’t worry.  I promised I’d be a President for all Americans.  We’ll fund these projects.  And I’ll see you at the groundbreaking.  (Applause.)

Look, this law — this law will further unite all of America.
 
Projects like the Brent Spence Bridge in Kentucky over the Ohio River.  Built 60 years ago.  Badly in need of repairs.  One of the nation’s most congested freight routes, carrying $2 billion worth of freight every single day across the Ohio River.
 
And, folks, we’ve been talking about fixing it for decades, but we’re really finally going to get it done….And that’s what we’re also building — we’re building back pride.

Look, we’re also replacing poisonous lead pipes that go into 10 million homes in America, 400,000 schools and childcare centers so every child in America — every child in American can drink the water, instead of having permanent damage to their brain.  (Applause.)

Look, we’re making sure that every community in America has access to affordable, high-speed Internet… 
And when we do these projects — and, again, I get criticized about this, but I make no excuses for it — we’re going to buy American.  (Applause.) ..and it’s totally consistent with international trade rules.  Buy American has been the law since 1933.  But for too long, past administrations — Democrat and Republican — have fought to get around it.  Not anymore.
 
Tonight, I’m also announcing new standards to require all construction materials used in federal infrastructure projects to be made in America.  (Applause.)  Made in America.  I mean it.  (Applause.)  Lumber, glass, drywall, fiber-optic cable.  

And on my watch, American roads, bridges, and American highways are going to be made with American products as well.

Folks, my economic plan is about investing in places and people that have been forgotten.  So many of you listening tonight, I know you feel it.  So many of you felt like you’ve just simply been forgotten.  Amid the economic upheaval of the past four decades, too many people have been left behind and treated like they’re invisible.
 
Maybe that’s you, watching from home.  You remember the jobs that went away.  You remember them, don’t you?

The folks at home remember them.  You wonder whether the path even exists anymore for your children to get ahead without having to move away…That’s why we’re building an economy where no one is left behind.
 
Jobs are coming back, pride is coming back because of choices we made in the last several years.
 
You know, this is, in my view, a blue-collar blueprint to rebuild America and make a real difference in your lives at home.  (Applause.)

Today, the White House Infrastructure Implementation Team also released new state-by-state fact sheets which outline the progress in all 50 states, DC and the territories as of January 13, 2023:

Alabama
Alaska
American Samoa
Arizona
Arkansas
California
Colorado
Connecticut
Delaware
District of Columbia
Florida
Georgia
Guam
Hawaii
Idaho
Illinois
Indiana
Iowa
Kansas
Kentucky
Louisiana
Maine
Maryland
Massachusetts
Michigan
Minnesota
Mississippi
Missouri
Montana
Nebraska
Nevada
New Hampshire
New Jersey
New Mexico
New York
North Carolina
North Dakota
Northern Mariana Islands
Ohio
Oklahoma
Oregon
Pennsylvania
Puerto Rico
Rhode Island
South Carolina
South Dakota
Tennessee
Texas
Tribal Fact Sheet
US Virgin Islands
Utah
Vermont
Virginia
Washington  
West Virginia
Wisconsin
Wyoming

Biden Administration Takes New Actions to Support, Advance Women’s Economic Security

Women’s March 2020, New York City The Biden Administration is marking the 30th anniversary of the Family and Medical Leave Act by announcing new actions to support and advance women’s economic security. Women’s economic security also means reproductive health rights. © Karen Rubin/news-photos-features.com

The Biden-Harris Administration is marking the upcoming 30th anniversary of the Family and Medical Leave Act (FMLA) by announcing new actions to support and advance women’s economic security. For thirty years, the FMLA has helped Americans take up to 12 weeks of unpaid leave from work when they are seriously ill or to care for a new child or a sick family member without the risk of losing their jobs. Today, President Biden is demonstrating his commitment to ensuring access to family and medical leave, by encouraging heads of Federal agencies to provide access to leave for Federal employees when they need it, including during their first year of service.

Across the country, millions of workers still face impossible choices between keeping a paycheck and caring for their family or themselves. This is especially true for women, who shoulder disproportionate caregiving responsibilities, with real consequences for their ability to participate in the labor force and support their families over the course of their lives. That’s why the Biden-Harris Administration will continue to champion and take action on national paid family and medical leave, affordable child care, and home and community-based care so that all Americans can both care for and financially support their families.

Improving Access to Leave. Today, President Biden is issuing a Presidential Memorandum to support Federal employees’ access to leave when they need to care for themselves or a loved one. The memorandum calls on heads of Federal agencies to support access to leave without pay for Federal employees, including during their first year of service, to ensure employees are able to bond with a new child, care for a family member with a serious health condition, address their own serious health condition, help manage family affairs when a family member is called to active duty, or grieve after the death of a family member. The Office of Personnel Management is further directed to provide recommendations regarding “safe leave,” to support Federal employees’ access to paid leave and leave without pay for purposes related to seeking safety and recovering from domestic violence, dating violence, sexual assault, or stalking. These may include obtaining medical treatment, seeking assistance from organizations that provide services to survivors, seeking relocation, and taking related legal action.  

This Presidential Memorandum builds on other Administration efforts to improve access to and awareness of family and medical leave, including to:

  • Ensure military personnel have access to 12 weeks of paid parental leave. The Department of Defense issued a memorandum expanding the Military Parental Leave Program. Active-duty service members are now eligible for 12 weeks of parental leave following the birth, adoption, or placement of a child for long-term foster care. The expanded leave erases the previous distinction between primary and secondary caregivers, enabling both parents to take time to care for their children while balancing the needs of their unit, and it is in addition to medical convalescent leave, which continues to be available for birth parents recovering from pregnancy. Additionally, service members may request to take the 12 weeks of parental leave in multiple increments of at least one week, which allows for flexibility to meet both family and mission needs.
     
  • Support paid leave efforts in states. The Administration remains committed to working with states on opportunities to expand access to paid family and medical leave. Yesterday, the White House convened state legislators who are working to advance bills this session that would create statewide paid family and medical leave programs. These new efforts build on the 11 states and the District of Columbia that have passed paid family and medical leave laws. The Department of Labor will also release a new website with information on state paid leave laws.
     
  • Help employees impacted by cancer know their rights under the FMLA. As the Administration marks one year since the launch of President Biden’s Cancer Moonshot, the Department of Labor issued new resources in December to help employees know their rights when diagnosed with cancer or taking on a caregiver role. These new tools included a resource page on “Workplace Protections for Individuals Impacted by Cancer,” a practical guide on “How to Talk to Your Employer about Taking Time Off,” and an easy-to-post flyer to help health care providers support FMLA leave.

Investing in Economic Security. The actions announced today build on critical steps the Biden-Harris Administration has taken recently to support economic security for women and families, including:

  • Protecting the health and economic security of pregnant workers. President Biden signed into law the Pregnant Workers Fairness Act as part of the bipartisan end-of-year omnibus law, which will provide basic, long-overdue protections to ensure that millions of pregnant and postpartum workers have the right to reasonable accommodations in the workplace for pregnancy, childbirth, and related medical conditions. Under the new law, employers must make reasonable accommodations for pregnant workers and job applicants, which may include light duty, breaks, or a stool to sit on, without discriminating or retaliating against them.
     
  • Extending protections for nursing workers. The President also signed into law the Providing Urgent Maternal Protections (PUMP) for Nursing Mothers Act, which extends break time and private space protections for nursing parents to nearly 9 million workers, including teachers, nurses, and farmworkers. These protections will empower parents to continue expressing milk at work, so they do not have to choose between their job or their infant’s health. Today, the Department of Labor’s Wage and Hour Division released an updated Fact Sheet detailing employee rights and employer responsibilities under the new law and will continue outreach and public education efforts to help pregnant and nursing workers, and their employers, know their rights.
  • Increasing investments in early childhood education and child care. As part of the end-of-year omnibus, the Administration secured a 30 percent increase in funding for the Child Care and Development Block Grant, which could help up to 130,000 more families afford child care and access better child care options. The new law also made significant investments in programs such as Head Start and the Preschool Development Grant – Birth through Five that help young children and their families access quality, affordable early care and education. Greater availability and affordability of high-quality early care and education will help women with young children to enter and stay in the workforce.
     
  • Supporting women’s right to be safe in the workplace and free from sexual harassment and assault. In December, the President signed the Speak Out Act, which will enable survivors to speak out about workplace assault and harassment by prohibiting the enforcement of pre-dispute nondisclosure and non-disparagement clauses regarding allegations of sexual harassment or assault. Earlier last year, the President also signed into law the Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act of 2021, which amended the Federal Arbitration Act and allows employees who sign pre-dispute mandatory arbitration agreements with their employers to pursue claims of sexual harassment or assault in court.

Meanwhile,on what would have been the 50th anniversary of the Supreme Court’s decision in Roe v. Wade, President Biden issued a Presidential Memorandum on Further Efforts to Protect Access to Reproductive Healthcare Services. Vice President Harris announced the Presidential Memorandum in Florida later today, where she will speak about the next steps in the fight for reproductive rights and reinforce the Biden-Harris Administration’s commitment to protecting access to abortion, including medication abortion.

Since the day of the Supreme Court’s decision in Dobbs v. Jackson Women’s Health Organization, President Biden has emphasized the need to protect access to mifepristone, a drug used in medication abortion that has been approved by the Food and Drug Administration (FDA) for over 20 years and accounts for the majority of all abortions in the United States.

Earlier this month, the FDA took evidence-based action to support safe access to mifepristone by allowing the continued use of telehealth to prescribe the medication and creating a new option for certified pharmacies to dispense it to patients.

Some state officials have taken steps to try to prevent women from legally accessing medication abortion and to discourage pharmacies from becoming certified by the FDA.
Today, President Biden will sign a Presidential Memorandum to further protect access to medication abortion.

In the face of barriers to medication abortion and concerns about the safety of patients, healthcare providers, and pharmacists, today’s Presidential Memorandum announces actions to:

  • Protect Legal Access to Medication Abortion. The Presidential Memorandum directs the Secretary of Health and Human Services (HHS), in consultation with the Attorney General and the Secretary of Homeland Security (DHS), to consider new guidance to support patients, providers, and pharmacies who wish to legally access, prescribe, or provide mifepristone—no matter where they live.
     
  • Safeguard Patient Safety and Security. To ensure that patients understand their right to access reproductive healthcare despite roadblocks, the Presidential Memorandum directs the Secretary of HHS, in consultation with the Attorney General and the Secretary of DHS, to consider new actions to ensure that patients can access legal reproductive care, including medication abortion from a pharmacy, free from threats or violence. The President has long made clear that people should have access to reproductive care free from harassment, threats, or violence. Pharmacies should be treated no differently.

The Attorney General and the Secretaries of HHS and DHS also provided recommendations to the White House Interagency Task Force on Reproductive Healthcare Access, which was established by President Biden in Executive Order 14076, on additional ways to address barriers faced by patients, providers, and pharmacies in safely and legally accessing or providing medication abortion, consistent with evidence-based requirements set by the FDA.

Biden Acts to Reduce Credit Card, Concert, Resort, Phone Termination Fees Saving Consumers $Billions

President Biden Calls for a Junk Fee Prevention Act to Eliminate Unfair and Costly Junk Fees 

Times Square NYC where you can use credit cards to buy souvenirs, theater and concert tickets, mobile phones, hotel accommodations. President Biden is proposing to save consumers billions of dollars in fees on everything from surprise resort and destination fees, to concert tickets, early termination for TV, phone and internet, and bank accounts and credit cards © Karen Rubin/news-photos-features.com

As part of the fourth meeting of the President’s Competition Council, the Biden-Harris Administration is announcing two actions that further advance the President’s agenda of promoting competition in the American economy. First, the Consumer Financial Protection Bureau (CFPB) is proposing a rule that would slash excessive credit card late fees, pursuant to its authority under the bipartisan Credit CARD Act of 2009. The rule is projected to reduce typical late fees from roughly $30 to $8, saving consumers as much as $9 billion a year in late fees. Second, the Department of Commerce’s National Telecommunications and Information Administration (NTIA) is releasing a report assessing the barriers to competition in the current mobile app store ecosystem and providing recommendations to level the playing field for app developers and give consumers more control over their devices.

The President will also highlight the Administration’s steady progress in eliminating or limiting junk fees: those hidden or unexpected fees that Americans pay each day that can total hundreds of dollars a month. Junk fees are not only costly to consumers, but they can stifle competition by encouraging companies to use increasingly sophisticated tools to disguise the true price consumers face. By reducing these fees and increasing transparency, we can provide relief to consumers and make our economy more competitive, particularly for new and growing businesses.

Since the President urged agencies to focus on reducing junk fees at the September 2022 meeting of the Competition Council, agencies have delivered in the following ways:

  • The CFPB targeted overdraft and bounced check fees, releasing two reports in 2021 and ramping up its oversight, driving 15 of the 20 largest banks to agree to put an end to bounced check fees. The CFPB followed up by releasing guidance banning surprise overdraft fees – fees charged for overdrawing a checking account even though at the time of purchase there appeared to be sufficient funds – and surprise depositor fees charged when you deposit someone else’s bounced check. These changes will reduce fees by more than $1 billion annually.
     
  • The Department of Transportation (DOT) proposed a rule to require airlines and online booking services to show the full price of a plane ticket up front, including baggage and other fees. DOT also published a dashboard of airline policies when flights are delayed or cancelled due to issues under the airlines’ control, leading 9 airlines to change policies to guarantee coverage of hotels and 10 airlines to guarantee coverage of meals, none of which was guaranteed before.
     
  • The Federal Communications Commission (FCC) released new rules that will go into effect next year to require broadband providers to use “nutrition labels”—similar to those used for food products—to convey key information to consumers about internet service options in an accessible format. The information featured will include prices, speeds, data allowances, and any additional fees charged.

Even as the Administration is taking these significant steps to use existing authority to eliminate junk fees, the President is calling on Congress to pass a Junk Fee Prevention Act that cracks down on four types of junk fees that cost American consumers billions of dollars a year.

Specifically, the President is urging Democrats and Republicans in Congress to come together to:

Crack down on excessive online concert, sporting event, and other entertainment ticket fees. Many online ticket sellers impose massive service fees at check-out that are not disclosed when consumers are choosing their tickets. In a review of 31 different sporting events across five ticket sellers’ websites, service charges averaged more than 20% of the ticket’s face value, and total fees—like processing fees, delivery fees, and facility fees—reached up to more than half the cost of the ticket itself. A family of four attending a show could end up paying far more than $100 in fees above and beyond the cost of the tickets.

Significant concentration in the industry—and a lack of consumer options—makes matters worse. Often, if Americans want to attend a particular concert or sporting event, they only have one online option for making the initial ticket purchase. That means that even if consumers knew they might have to pay a large fee on top of the ticket cost, they would have no way to avoid it if they wanted to attend a particular show. One company has exclusive partnerships with a reported 80 of the top 100 arenas in the United States, allowing it to charge fees to attend events at those leading venues without fear of competition.

While antitrust enforcement agencies have the authority to investigate and address anti-competitive conduct in the industry, the President urges Congress to act now to reduce these fees through legislation. Specifically, the President is calling on Congress to prohibit excessive fees, require the fees to be disclosed in the ticket price, and mandate disclosure of any ticket holdbacks that diminish available supply.

Ban airline fees for family members to sit with young children. Many airlines today charge a fee to select a seat in advance, including for those traveling with children. Parents can find themselves unexpectedly not seated with their young child on a flight or paying large fees to sit next to their children. The President believes no parent should have to pay extra to sit next to their child. 

In July 2022, the DOT issued a notice stating that it is the Department’s policy that U.S. airlines ensure that children who are age 13 or younger are seated next to an accompanying adult with no extra charge, but still no airline guarantees fee-free family seating. DOT will publish a family seating fee dashboard and launch a rulemaking to ban the practice. The President is calling upon Congress to fast-track the ban on family seating fees so that the DOT can crack down on these practices more quickly than through a rulemaking. 

Eliminate exorbitant early termination fees for TV, phone, and internet service. Too often, cable TV, internet, and mobile phone providers have “early termination” fees that consumers must pay if they want to switch to another provider. These fees can exceed $200. Early termination fees are costly for consumers and undermine economic dynamism by making it harder for innovative companies to win a toe-hold in the market by encouraging customers to switch. And these providers often charge people when they’re most vulnerable—people who are forced to move because of a job loss or other financial downturn, for example, may be slammed with hundreds of dollars in early termination fees.

The President urges Congress to eliminate these excessive early termination fees so that companies can no longer lock in customers and must truly compete with each other on the basis of price and quality.

Ban surprise resort and destination fees. When families set their budget for a vacation, they expect that the hotel price they see is the price they will pay. But many travelers encounter surprise “resort fees” or “destination fees” when they check out or at the end of a lengthy online reservation process. These fees harm consumers by preventing them from the seeing the true price when they pick out a hotel and by limiting their ability to comparison shop. Over the past decade, a growing number of hotels have imposed these fees on consumers, which can be $50 or more per night. More than one-third of hotel guests report having paid such fees. And the total costs for Americans are enormous: according to one report, hotels collected billions in these fees and surcharges in 2018.

The President urges Congress to ban these surprise fees by requiring that hotels include them in the price of the room, so consumers aren’t surprised. Travelers should know which hotels charge these fees and which ones do not, so that they can plan and budget accordingly.

The President is calling for passage of a Junk Fee Prevention Act to provide millions of Americans with fast relief from these frustrating and costly fees. This will not only save Americans billions a year, but make our markets more competitive—creating a more even playing field so that businesses that price in a fair and transparent manner no longer lose sales to companies that disguise their actual prices with hidden fees. In the coming weeks and months, the Biden-Harris Administration looks forward to working with Congress to crack down not only on these fees, but also other junk fees that take cash out of Americans’ pockets and hide the true cost of products.

Biden Administration Lays Out Roadmap to Mitigate Cryptocurrency Risks

The Biden Administration is calling on Congress to lay out controls to mitigate against risks posed by cryptocurrency © Karen Rubin/news-photos-features.com

By Brian Deese, Arati Prabhakar, Cecilia Rouse, and Jake Sullivan

2022 was a tough year for cryptocurrencies. In May, a so-called “stablecoin” imploded, prompting a wave of insolvencies. Just months later, a major cryptocurrency exchange collapsed. Many everyday investors who trusted cryptocurrency companies—including young people and people of color—suffered serious losses, but, thankfully, turmoil in the cryptocurrency markets has had little negative impact on the broader financial system to date. While cryptocurrency might be relatively new, the behavior we have seen some cryptocurrency companies exhibit and the risks posed by this behavior are not. As an administration, our focus is on continuing to ensure that cryptocurrencies cannot undermine financial stability, to protect investors, and to hold bad actors accountable.

At President Biden’s direction, we have spent the past year identifying the risks of cryptocurrencies and acting to mitigate them using the authorities that the Executive Branch has.

First, experts across the administration have laid out the first-ever framework for developing digital assets in a safe, responsible way while addressing the risks they pose. To be sure, the technologies powering cryptocurrencies may offer ways to make payments faster, cheaper, and safer. But this framework identifies clear risks. For example, some cryptocurrency entities ignore applicable financial regulations and basic risk controls—practices that protect the country’s households, businesses, and economy. In addition, cryptocurrency platforms and promoters often mislead consumers, have conflicts of interest, fail to make adequate disclosures, or commit outright fraud. And there is poor cybersecurity across the industry that enabled the Democratic People’s Republic of Korea to steal over a billion dollars to fund its aggressive missile program.

Second, agencies are using their authorities to ramp up enforcement where appropriate and issue new guidance where needed. The banking agencies issued joint guidance, just this month, on the imperative of separating risky digital assets from the banking system. Agencies across government have launched—or are now developing—public-awareness programs to help consumers understand the risks of buying cryptocurrencies. We encourage regulators to continue these efforts, including those designed to address and limit financial institutions’ exposure to the risks of digital assets.

But the events of the past year underscore that more is needed. Agencies have redoubled their efforts to fight fraud, including the proliferation of false or misleading claims about crypto assets being insured by the FDIC. And while the United States is already a global leader in fighting money laundering and terrorist financing, enforcement agencies are devoting increased resources to combatting illicit activities involving digital assets. In the coming months, the Administration will also unveil priorities for digital assets research and development, which will help the technologies powering cryptocurrencies protect consumers by default.

Congress, too, needs to step up its efforts. For example, Congress should expand regulators’ powers to prevent misuses of customers’ assets—which hurt investors and distort prices—and to mitigate conflicts of interest. Congress could also strengthen transparency and disclosure requirements for cryptocurrency companies so that investors can make more informed decisions about financial and environmental risks. To aid law enforcement, it could strengthen penalties for violating illicit-finance rules and subject cryptocurrency intermediaries to bans against tipping off criminals. It could fund greater law-enforcement capacity building, including with international partners. And it could limit cryptocurrencies’ risks to the financial system by following the steps outlined by the Financial Stability Oversight Council in its recent report, including addressing the risks of stablecoins.

While congressional action in these areas would be welcome, Congress could also make our jobs harder and worsen risks to investors and to the financial system. Legislation should not greenlight mainstream institutions, like pension funds, to dive headlong into cryptocurrency markets. In the past year, traditional financial institutions’ limited exposure to cryptocurrencies has prevented turmoil in cryptocurrencies from infecting the broader financial system. It would be a grave mistake to enact legislation that reverses course and deepens the ties between cryptocurrencies and the broader financial system.

The Administration wholeheartedly supports responsible technological innovations that make financial services cheaper, faster, safer, and more accessible. Yet to realize these benefits, new technologies need commensurate safeguards. Safeguards will ensure that new technologies are secure and beneficial to all—and that the new digital economy works for the many, not just the few. To put the right safeguards in place, we will keep driving forward the digital-assets framework we’ve developed, while working with Congress to achieve these goals.

Record 16.3 Million Signed Up for Obamacare

Affordable Care Act – Obamacare – gives access to affordable health insurance for individuals. The Biden Administration reported a record 16.3 million people signed up for Obamacare in the last open enrollment period, a nearly 50 percent increase in HealthCare.gov signups since President Biden took office; 3.6 million people signed up for health care coverage through the marketplaces for the first time. (c) Karen Rubin/news-photos-features.com

Nearly 50% increase in HealthCare.gov signups since President Biden took office, and 3.6 million people signed up for health care coverage on the Marketplaces for the first time this year

The White House provided this detail about a record 16.3 million people signing up for Obamacare in the just-concluded open enrollment season,  a nearly 50% increase in HealthCare.gov signups since President Biden took office, and 3.6 million people signed up for health care coverage on the Marketplaces for the first time this year

The Biden-Harris Administration announced that a record-breaking 16.3 million people have selected an Affordable Care Act (ACA) Marketplace health plan nationwide during the 2023 Marketplace Open Enrollment Period (OEP) that ran from November 1, 2022-January 15, 2023 for most Marketplaces. President Biden promised to strengthen and build on the Affordable Care Act, and this year, the 10th year of ACA Open Enrollment, more Americans signed up for high-quality, affordable health insurance through the ACA Marketplaces than ever before. Since President Biden took office, the number of people who have signed up for an affordable health care plan through HealthCare.gov has increased by nearly 50%. Because of the President’s plan, millions of working families saved an average of $800 on their health insurance premiums last year.
 
Total plan selections include 3.6 million people (22% of total) who are new to the Marketplaces for 2023, and 12.7 million people (78% of total) who had active 2022 coverage and made a plan selection for 2023 coverage or were automatically re-enrolled. Over 1.8 million more people have signed up for health insurance, or a 13% increase, from this time last year. The 3.6 million plan selections from people who are new to the Marketplaces represent a 21% increase in new-to-Marketplace plan selections over last year.
 
“Unprecedented investments lead to unprecedented results,” said HHS Secretary Xavier Becerra. “Thanks to President Biden’s leadership, more than 16 million Americans have health insurance through the Affordable Care Act Marketplaces – an all-time high. The Biden-Harris Administration has made lowering health care costs and expanding access to health insurance a top priority – and these record-breaking numbers show we are delivering results for the American people. We will keep doing everything we can to ensure more people have the peace of mind that comes with high-quality, affordable health care.”
 
“President Biden promised to build on the success of the Affordable Care Act and make it easier for people to enroll and find affordable, quality coverage – and that promise has been kept,” said CMS Administrator Chiquita Brooks-LaSure. “On the tenth anniversary of the ACA Marketplaces, the numbers speak for themselves: more people signed up for plans this year than ever before, and the uninsured rate is at an all-time low.”
 
The Biden-Harris Administration has made expanding access to health insurance and lowering health care costs for America’s families a top priority, and under their leadership, the national uninsured rate reached an all-time low earlier this year, and the 2023 Marketplace Open Enrollment Period saw the highest number of  plan selections of any year since the launch of the ACA Marketplaces ten years ago.
 
This year, individuals benefited from a highly competitive Marketplace. Ninety-two percent of HealthCare.gov enrollees had access to options from three or more insurance companies when they shopped for plans. Also, new standardized plan options were available in 2023 through HealthCare.gov, which helped consumers compare and select plans. Thanks to the Inflation Reduction Act, more people this year continued to qualify for help purchasing quality health coverage with expanded financial assistance, resulting in four out of five people returning to HealthCare.gov being able to find a plan for $10 or less after tax credits.
 
Today’s snapshot represents activity through January 15, 2023 for the 33 Marketplaces using HealthCare.gov and through January 14 or 15, 2023 for the 18 State-based Marketplaces (SBMs) in 17 states and the District of Columbia that are using their own eligibility and enrollment platforms.
 
Marketplace Enrollment Snapshot Overview:
 

Marketplace and Consumer TypeCumulative 2023 OEP Plan Selections

Total: All Marketplaces

16,306,448
New Consumers3,603,067
Returning Consumers[1]12,703,381
Total HealthCare.gov Marketplaces12,203,622
New Consumers3,000,155
Returning Consumers9,203,467
Total SBMs[2]4,102,826
New Consumers602,912
Returning Consumers3,499,914

1 The returning consumers metric in this report includes both consumers who have returned to their respective Marketplace through the reporting date and selected a plan for 2023 coverage and consumers who have been automatically re-enrolled in their 2022 plan or a suggested alternate plan.
2 In addition to reported plan selections, New York and Minnesota have a Basic Health Program (BHP), which provides coverage to consumers with incomes below 200 percent of the FPL who are not eligible for Medicaid or CHIP and otherwise would be eligible for a QHP.  From November 1 – January 14, 2023, New York had a total of 1,114,406 individuals enroll in a BHP. Minnesota’s BHP data was not available at the time of this report. 

While the 2023 Open Enrollment Period has closed for the 33 Marketplaces using HealthCare.gov, State-Based Marketplace deadlines vary and enrollment continues in several states. State-specific deadlines and other information are available in the State-based Marketplace Open Enrollment Fact Sheet.

Individuals who meet certain conditions may be eligible for a Special Enrollment Period (SEP) and can determine if they qualify by visiting HealthCare.gov, or CuidadoDeSalud.gov, or by calling 1-800-318-2596.

FACT SHEET: Biden-Harris Administration Announces New Actions to Protect Renters and Promote Rental Affordability

The Biden-Harris Administration is announcing new actions to increase fairness in the rental market and further principles of fair housing. These actions align with a new Blueprint for a Renters Bill of Rights that the Administration is also releasing. The Blueprint lays out a set of principles to drive action by the federal government, state and local partners, and the private sector to strengthen tenant protections and encourage rental affordability. © Karen Rubin/news-photos-features.com

The Biden Administration also launches Resident-Centered Housing Challenge, a call-to-action to improve the quality of life for renters

The Biden-Harris Administration is announcing new actions to increase fairness in the rental market and further principles of fair housing. These actions align with a new Blueprint for a Renters Bill of Rights that the Administration is also releasing. The Blueprint lays out a set of principles to drive action by the federal government, state and local partners, and the private sector to strengthen tenant protections and encourage rental affordability. Key actions announced include:

  • The Federal Trade Commission (FTC) and the Consumer Financial Protection Bureau (CFPB), both independent agencies, announced they will collect information to identify practices that unfairly prevent applicants and tenants from accessing or staying in housing in order to inform enforcement and policy actions under each agency’s jurisdiction. This is the first time the FTC has issued a request for information exploring unfair practices in the rental market. The two agencies will seek information on a broad range of practices that affect the rental market, including the creation and use of tenant background checks, the use of algorithms in tenant screenings, the provision of adverse action notices by landlords and property management companies, and how an applicant’s source of income factors into housing decisions.
     
  • The CFPB announced it will issue guidance and coordinate enforcement efforts with the FTC to ensure accurate information in the credit reporting system and to hold background check companies accountable for having unreasonable procedures.
     
  • The Federal Housing Finance Agency (FHFA), an independent agency, announced it will launch a new public process to examine proposed actions promoting renter protections and limits on egregious rent increases for future investments. FHFA will maintain transparency throughout the process and provide periodic updates, including one within 6 months, to interested stakeholders. As announced in November, the FHFA will also increase affordability in the multifamily rental market by establishing requirements that encourage the financing of multifamily loans that guarantee affordable housing. In 2022, Freddie Mac and Fannie Mae purchased a combined $142 billion in multifamily loans supporting over one million units. If the same activity holds in 2023, this would mean an investment in approximately 700,000 affordable units.
     
  • A U.S. Department of Justice workshop will inform potential guidance updates around anti-competitive information sharing, including in rental markets.
     
  • The U.S. Department of Housing and Urban Development will publish a notice of proposed rulemaking that would require public housing authorities and owners of project-based rental assistance properties to provide at least 30 days’ advanced notice before terminating a lease due to nonpayment of rent.
     
  • The Administration will hold quarterly meetings with a broad, diverse, and varying group of tenants and tenant advocates to ensure they continue to have a seat at the table and can share ambitious ideas to strengthen tenant protections.

These new announcements are part of a broader set of federal actions that exemplify the principles laid out in the Blueprint for a Renters Bill of Rights, which underscores key protections every renter deserves:

  • Safe, Quality, Accessible, and Affordable Housing: Renters should have access to housing that is safe, decent, and affordable.
     
  • Clear and Fair Leases: Renters should have a clear and fair lease that has defined rental terms, rights, and responsibilities.
     
  • Education, Enforcement, and Enhancement of Renter Rights: Federal, state, and local governments should do all they can to ensure renters know their rights and to protect renters from unlawful discrimination and exclusion.
     
  • The Right to Organize: Renters should have the freedom to organize without obstruction or harassment from their housing provider or property manager.
     
  • Eviction Prevention, Diversion, and Relief: Renters should be able to access resources that help them avoid eviction, ensure the legal process during an eviction proceeding is fair, and avoid future housing instability.

In addition, the Administration is rallying state and local stakeholders and private housing actors to drive further action to protect renters in line with the Blueprint. As part of this effort, the Administration is launching the Resident-Centered Housing Challenge (Challenge), a call to action to housing providers and other stakeholders to strengthen practices and make their own independent commitments that improve the quality of life for renters. The Challenge, which will occur during the Spring of 2023, also encourages states, local, Tribal, and territorial governments to enhance existing policies and develop new ones that promote fairness and transparency in the rental market. Early commitments in support of the Challenge, which would affect over 15 million rental units, include:

  • Wisconsin Housing and Economic Development Authority (WHEDA) and Pennsylvania Housing Finance Agency (PHFA) have capped annual rental increases to 5 percent per year for federally or state subsidized affordable housing. Beginning in 2023, WHEDA policy applies to existing residents in properties utilizing state or federal Low-Income Housing Tax CreditsPHFA applied this policy to their portfolio of 450 properties with PHFA funding in 2022.  
  • Members of the Stewards of Affordable Housing for the Future (SAHF), which collectively own or manage 145,000 housing units across the U.S., commit to offer flexible payment plans for residents with unpaid rent who have engaged with property management and to provide the following notices and protections where permitted by local law and financing documents: at least 30 days’ notice to vacate for nonpayment of rent; at least 5 days to cure a missed rent payment; and 60 days’ notice to tenants of any proposed sale or closure of a property. SAHF also commits to launching a task force of its members to identify best practices for resident-centered practices and share resources with the field including model policies and procedures, sample notices, and case studies.
  • Realtor.com Rentals will pilot a new listing process through their DIY landlord product, Avail, highlighting units and landlords that indicate that they welcome Housing Choice Vouchers. Realtor.com will be able to share this information with its nearly 5 million monthly rentals search visitors. They will also ensure that more than 1.3 million Avail renters have access to their application information so they can submit their application to multiple property owners on the platform without additional cost.
     
  • The National Apartment Association commits to promoting resident programming and practices, such as helping tenants build and improve credit through reporting of positive rent payments to credit bureaus, through their website, industry events and other content channels that reach a network of more over 95,000 members owning and operating more than 11.6 million apartment homes globally.
     
  • The National Association of Realtors and its affiliate, the Institute of Real Estate Management, commit to creating new resources for property managers in their network of 1.5 million members that highlight ways they can incorporate resident-centered property management practices in their businesses. Practices would include a range of examples that have proven effective, such as advertising to prospective residents that Housing Choice Vouchers are accepted at their property, providing information about rental assistance, and using alternative credit scores for applicants without a detailed credit history. 
     
  • The National Multifamily Housing Council commits to working with its 2,000 members to identify business standards that align with principles of resident-centered management practices, such as helping residents build credit, providing resource information to residents in financial distress, and communicating these practices through a new resource hub on its website.

The Administration welcomes additional commitments from interested stakeholders to: pursue high-road practices aligned with the Blueprint principles; create new benefits for residents that enhance their economic mobility, build credit, and prepare them for homeownership; reduce or eliminating rental “junk fees,” which are the hidden fees, charges, and add-ons that take cash out of people’s pockets; expand pathways to eviction mitigation and prevention; and enhance and increase communication about tenant rights. To join the Challenge, interested partners can complete this survey by April 28, 2023. Questions regarding the White House Resident-Centered Housing Challenge team, can be directed to [email protected].

Over a third of the American population – 44 million households – rent their homes. Before the pandemic, well over 2 million eviction fillings and roughly 900,000 evictions occurred annually – disproportionately affecting Black women and their children. Since then, rental housing has become less affordable with some landlords taking advantage of market conditions to pursue egregious rent increases.  Today’s announcements recognize there are responsible housing providers – large and small, national and local – willing to treat renters fairly, but it also holds accountable those who exploit market realities at the cost of renters’ housing access and stability. 
 
Since taking office, the President has taken substantial steps to promote fairness in the rental market and ease the burden of rental costs for millions of American renters. The Administration kept the national eviction moratorium in place until August 2021, which helped to prevent over 1.5 million eviction filings nationwide. The Administration has delivered over 8 million rental or utility assistance payments to reduce renters’ risk of eviction or housing instability through Emergency Rental Assistance programs and provided over $769 million for housing stability services. Last May, the Administration released a Housing Supply Action Plan, which set the goal of closing America’s housing supply shortfall in five years. The Administration has been making progress advancing a long-term goal of providing housing vouchers to all eligible households: the 2022 and 2023 President’s Budgets proposed to expand rental assistance to an additional 200,000 households – and the Administration has secured rental assistance to more than 100,000 households through the 2022 and 2033 appropriations bills and the American Rescue Plan. And, last week, HUD published a Notice of Proposed Rulemaking on its efforts to Affirmatively Further Fair Housing.   
 

Biden Administration Introduces New Regulations to Reduce Cost of Federal Student Loan Payments

The Biden Administration’s proposed regulations for a Revised Pay As You Earn (REPAYE) plan would create the most affordable income-driven repayment (IDR) plan that has ever been made available to student loan borrowers, simplify the program, and eliminate common pitfalls that have historically delayed borrowers’ progress toward forgiveness and provide student debt relief to some 40 million borrowers © Karen Rubin/news-photos-features.com

Despite ongoing opposition by Republicans, President Joe Biden continues to introduce programs to relieve the burden of student loans. This is a fact sheet from the Department of Education describing a Revised Pay As You Earn (REPAYE) plan to provide student debt relief for 40 million borrowers:

Today, the U.S. Department of Education (Department) proposed regulations to reduce the cost of federal student loan payments, especially for low and middle-income borrowers. The regulations fulfill the commitment President Biden laid out in August when he announced his Administration’s plan to provide student debt relief for approximately 40 million borrowers and make the student loan system more manageable for student borrowers. The proposed regulations would create the most affordable income-driven repayment (IDR) plan that has ever been made available to student loan borrowers, simplify the program, and eliminate common pitfalls that have historically delayed borrowers’ progress toward forgiveness.  

“Today the Biden-Harris administration is proposing historic changes that would make student loan repayment more affordable and manageable than ever before,” said U.S. Secretary of Education Miguel Cardona. “We cannot return to the same broken system we had before the pandemic, when a million borrowers defaulted on their loans a year and snowballing interest left millions owing more than they initially borrowed. These proposed regulations will cut monthly payments for undergraduate borrowers in half and create faster pathways to forgiveness, so borrowers can better manage repayment, avoid delinquency and default, and focus on building brighter futures for themselves and their families.” 

The proposed regulations would amend the terms of the Revised Pay As You Earn (REPAYE) plan to offer $0 monthly payments for any individual borrower who makes less than roughly $30,600 annually and any borrower in a family of four who makes less than about $62,400. The regulations would also cut in half monthly payments on undergraduate loans for borrowers who do not otherwise have a $0 payment in this plan. The proposed regulations would also ensure that borrowers stop seeing their balances grow due to the accumulation of unpaid interest after making their monthly payments.  

While these regulations would provide critical relief to student borrowers, the Biden-Harris Administration is also committed to ensuring postsecondary institutions and programs are held accountable if they leave borrowers with unaffordable debts. The Department is currently working on a proposed gainful employment regulation that would cut off federal financial aid to career training programs that fail to provide sufficient financial value and require warnings for borrowers who attend any program that leaves graduates with excessive debts. The same regulatory package will also include proposals to strengthen the conditions that can be placed on institutions that fail to meet the requirements of the Higher Education Act or exhibit signs of risk.  

The Department is also taking steps today to carry out President Biden’s announcement from August that the Department would publish a list of the programs at all types of colleges and universities that provide the least financial value to students. To advance this effort, the Department is publishing a request for information to seek formal public feedback on the best way to identify the programs that provide the least financial value for students. This public comment process will ensure the Department is carefully considering a range of perspectives and considerations as it constructs the list. Once the list is published, institutions with programs on this list will be asked to submit improvement plans to the Department to improve their financial value.  

Estimated effects of the proposed IDR Plan 

The proposed regulatory changes would substantially reduce monthly debt burdens and lifetime payments, especially for low and middle-income borrowers, community college students, and borrowers who work in public service. Overall, the Department estimates that the plan would have the following effects compared to the existing REPAYE plan: 

  • Future cohorts of borrowers would see their total payments per dollar borrowed decrease by 40%. Borrowers with the lowest projected lifetime earnings would see payments that are 83% less, while those in the top would only see a 5% reduction. 
  • A typical graduate of a four-year public university would save nearly $2,000 a year relative to the current REPAYE plan. 
  • A first-year teacher with a bachelor’s degree would save more than $17,000 in total payments while pursuing Public Service Loan Forgiveness—a two-thirds reduction in what they would pay in total under REPAYE.  
  • 85% of community college borrowers would be debt-free within 10 years
  • On average, Black, Hispanic, American Indian and Alaska Native borrowers would see their lifetime payments per dollar borrowed cut in half. 

Building on an Unparalleled Record of Debt Relief 

The draft regulations build upon the work the Biden-Harris Administration has already done to improve the student loan program, make colleges more affordable, approve $48 billion in targeted relief to nearly 2 million student loan borrowers, and fight to provide up to $20,000 in one-time debt relief to over 40 million eligible borrowers, including 26 million who have already applied. These regulations also propose to build on the Administration’s commitment to ensuring IDR plans deliver relief to eligible borrowers. This includes ongoing steps to provide accurate counts of progress toward forgiveness for borrowers through a one-time account adjustment

The proposed regulations and request for information will be published in the Federal Register tomorrow. The public may comment on both documents through the Regulations.gov website for 30 days. The Department expects to finalize the rules later this year and aims to start implementing some provisions later this year, subject to any changes made based on public comments. 

View an unofficial copy of proposed IDR regulation here and a fact sheet with further information here. View an unofficial copy of the RFI here, and a fact sheet with further information here.

Fighting for Debt Relief at the Supreme Court

Since President Biden first announced his intention to cancel up to $20,000 in student loan debt for the vast majority of borrowers, opponents of student debt relief have filed legal challenges seeking to halt this effort. In December, the Supreme Court agreed to hear two of these challenges– Nebraska v. Biden (recaptioned Biden v. Nebraska at the Supreme Court), brought by Republican officials in Nebraska, Missouri, Kansas, South Carolina, Arkansas, and Iowa, and Brown v. Biden (recaptioned Biden v. Brown at the Supreme Court), a challenge brought by student loan borrowers in Texas and funded by a right-wing dark-money group. 

Today, an historic coalition of cities, states, experts, and advocates filed more than a dozen amicus curiae briefs with the U.S. Supreme Court in support of the Biden Administration’s student debt relief program. 

This week’s briefs support the Justice Department’s effort to defend this policy before the nation’s highest court. To date, more than 26 million Americans have applied for student debt relief and more than 40 million Americans are expected to benefit when this program is fully implemented.

Leaders and public officials join law scholars, economists, sociologists, higher education and public policy experts from across the political and ideological spectrum in briefing the high court. The briefs represent the breadth of communities that stand to benefit from student debt relief, including working people, borrowers of color, veterans, older people, people of faith, along with cities and states across the country. Together, these briefs showcase the broad support, strong legal foundation, and urgent economic necessity underpinning President Biden’s effort to cancel student debt for 40 million Americans.

Amici Curiae Quote Sheet is available here: https://protectborrowers.org/wp-content/uploads/2023/01/Student-Debt-Relief-Amici-Curiae-Quote-Sheet.pdf

Amici Curiae Summaries and Highlights are available here: https://protectborrowers.org/wp-content/uploads/2023/01/Student-Debt-Relief-Amici-Curiae-Summaries-and-Highlights.pdf

The amicus curiae briefs filed in support of the U.S. Department of Justice in Biden v. Nebraska and Biden v. Brown include:

$600 Million in Refunds Returned to Airline Passengers Under DOT Rules Backed by New Enforcement Actions

Frontier Airlines was one of the airlines fined by the US Department of Transportation for extreme delays in providing refunds to passengers © Karen Rubin/news-photos-features.com

The U.S. Department of Transportation (DOT) announced historic enforcement actions against six airlines, which collectively paid $600 million to people who were owed a refund due to a canceled or significantly changed flight. These fines are part of DOT’s ongoing work to ensure Americans receive the refunds they are owed from airlines. Since the beginning of the COVID-19 pandemic, DOT has received a flood of complaints from air travelers about airlines’ failures to provide timely refunds after they had their flights canceled or significantly changed. 

“When a flight gets canceled, passengers seeking refunds should be paid back promptly. Whenever that doesn’t happen, we will act to hold airlines accountable on behalf of American travelers and get passengers their money back.” said U.S. Transportation Secretary Pete Buttigieg. “A flight cancellation is frustrating enough, and you shouldn’t also have to haggle or wait months to get your refund.” 

In addition to the more than $600 million in refunds airlines have paid back, the Department announced today that it is assessing more than $7.25 million in civil penalties against six airlines for extreme delays in providing refunds. With today’s fines, the Department’s Office of Aviation Consumer Protection has assessed $8.1 million in civil penalties in 2022, the largest amount ever issued in a single year by that office. A majority of the assessed fines will be collected in the form of payments to the Treasury Department, with the remainder credited on the basis of payments to passengers beyond the legal requirement. The Department’s efforts have helped lead to hundreds of thousands of passengers being provided with more than half a billion dollars in required refunds. The Department expects to issue additional orders assessing civil penalties for consumer protection violations this calendar year. 

The fines assessed today and required refunds provided are: 

  • Frontier – $222 million in required refunds paid and a $2.2 million penalty 
  • Air India – $121.5 million in required refunds paid and a $1.4 million penalty 
  • TAP Portugal – $126.5 million in required refunds paid and a $1.1 million penalty 
  • Aeromexico – $13.6 million in required refunds paid and a $900,000 penalty 
  • El Al – $61.9 million in required refunds paid and a $900,000 penalty 
  • Avianca – $76.8 million in required refunds paid and a $750,000 penalty 

All of the consent orders are available at www.regulations.gov, docket number DOT-OST-2022-0001. 

Under U.S. law, airlines and ticket agents have a legal obligation to refund consumers if the airline cancels or significantly changes a flight to, from and within the United States, and the passenger does not wish to accept the alternative offered. It is unlawful for an airline to refuse refunds and instead provide vouchers to such consumers.  

The fines announced today are one of the many steps the Department is taking to protect consumers. Below are additional actions DOT has taken: 

  • During the summer, the Department rolled out a new airline customer service dashboard to help consumers determine what they are owed when a flight is cancelled or delayed because of an airline issue. Previously, none of the 10 largest U.S. airlines guaranteed meals or hotels when a delay or cancellation was within the airlines’ control, and only one offered free rebooking. However, after Secretary Buttigieg called on airlines to improve their service and created this dashboard, nine airlines now guarantee meals and hotels when an airline issue causes a cancellation or delay and all 10 guarantee free rebooking. The Department will continue to work to increase transparency so Americans know exactly what the airlines are providing when they have a cancellation or delay. 
     
  • The Department’s proposed rule on Airline Ticket Refunds, if adopted, would: 1) require airlines to proactively inform passengers that they have a right to receive a refund when a flight is canceled or significantly changed, and 2) define a significant change and cancellation that would entitle a consumer to a refund. The rule would also 3) require airlines to provide non-expiring vouchers or travel credits when people can’t travel because they have COVID-19 or other communicable diseases; and 4) require airlines that receive significant government assistance in the future related to a pandemic to issue refunds instead of non-expiring travel credits or vouchers when passengers are unable or advised not to travel because of a serious communicable disease. The Department invites the public to submit comment on this rulemaking by December 16, 2022. The Department’s Aviation Consumer Protection Advisory Committee will publicly deliberate on the Department’s proposed rule on Airline Ticket Refunds and decide on recommendations to make to the Department at a virtual meeting on December 9, 2022. To register and attend this virtual meeting, please use the link: https://usdot.zoomgov.com/webinar/register/WN_V2zwVF3RQfuoOkyYFVqvdA
     
  • The Department has proposed a rule that would significantly strengthen protections for consumers by ensuring that they have access to certain fee information before they purchase their airline tickets. Under the proposed rule, airlines and travel search websites would have to disclose upfront – the first time an airfare is displayed – any fees charged to sit with your child, for changing or cancelling your flight, and for checked or carry-on baggage. The proposal seeks to provide customers the information they need to choose the best deal. Otherwise, surprise fees can add up quickly and overcome what may look at first to be a cheap fare. DOT encourages members of the public and interested parties to submit comments by December 19, 2022. 

The Department has proposed a rule to refund passengers for services they paid for that aren’t actually provided (e.g., broken WiFi). 

For information about airline passenger rights, as well as DOT’s rules, guidance, and orders, the Department’s aviation consumer website can be found at: https://www.transportation.gov/airconsumer